MultiChoice CEO takes pay cut despite R1.8B profit turnaround
MultiChoice CEO Calvo Mawela earned R35-million in total compensation for the past financial year, a decrease from R51-million, despite leading the company from a R4-billion loss to a R1.8-billion profit.
The turnaround was fueled by a R3.4-billion sale of MultiChoice’s 60% stake in NMSIS to Sanlam and aggressive cost-cutting measures that delivered R3.7-billion in savings, surpassing internal targets.
However, the pay-TV giant faced headwinds, with revenue declining 9% to R50-billion and a loss of 1.2 million subscribers, driven by fierce competition from streaming platforms and rampant piracy.
Mawela’s performance was mixed, he exceeded targets on BetKing and cost savings but fell short on Showmax, MultiChoice’s streaming service struggling to keep pace in a crowded market.
The reduction in Mawela’s pay reflects lower long-term incentives, tied to performance metrics. Despite the profit recovery, MultiChoice’s challenges highlight a company navigating a rapidly evolving media landscape, balancing cost discipline with the need to innovate against global streaming rivals.